Modest growth in monthly economic index score despite declines in key indicators

Zeta Global, the leader in AI-powered marketing solutions, has released the Zeta Economic Index (ZEI) for August 2024. Leveraging Zeta's proprietary Generative AI technology and data from over 240 million US consumers, the ZEI offers a detailed view of the current economic landscape and trends.

• Economic Index Score:

  • Current Score: Increased by 0.6 from July to 67.4, categorized as “Active,” indicating robust economic activity with healthy growth across various sectors.

• Economic Stability Index:

  • Current Score: Increased by 0.3 to 66.1, defined as Stable, reflecting steady income levels that help individuals manage short-term financial disruptions.

Insights and Trends

• Consumer Spending Patterns:

  • Discretionary Spending: Increased by 15% year-over-year, partly due to back-to-school spending and willingness to make non-essential purchases.
  • New Mover Index: Declined by 10% month-over-month, indicating growing caution among consumers.

• Job Market Sentiment:

  • Sentiment Index: Dipped 4.6% compared to last year, highlighting rising concerns about job stability.

• Sector-Specific Trends:

  • Automotive Sector: Index climbed by 4.1 points since July, driven by dealer incentives and excess inventory clearance.
  • Retail Sector: Dropped 12.6 points month-over-month, impacted by the early end of back-to-school shopping.
  • Travel Sector: Experienced a slowdown but remains above 2023 values by 7.5 points.

Supporting Quotes

• David A. Steinberg, Co-Founder, Chairman, and CEO of Zeta Global: “The Zeta Economic Index highlights the resilience of the US consumer despite economic headwinds. Our data reflects steady growth and adaptability, providing businesses with valuable insights to navigate a challenging market.”

The ZEI utilizes generative AI to analyze trillions of behavioral signals, offering comprehensive scores based on over 20 proprietary inputs. Unlike traditional surveys, this approach recalibrates monthly based on actual consumer behavior, delivering a nuanced understanding of economic trends.